Balbharati solutions for Economics HSC 12th Standard Maharashtra State Board
Chapter 6. INDEX NUMBERS
Q.4. Distinguish between
2. Price Index and Quantity Index.
Price Index | Quantity Index |
1. Price Index Number is calculated by two methods, namely a. Simple Aggregative Method b. Simple Average of Price Relative Method | 1. Quantity Index Number is calculated by two methods, namely a. Weighted Average of Price Relative Method b. Weighted Aggregative Method |
2. Price Index number is also known as the Unweighted Index Number. | 2. Quantity Index Number is also known as Weighted Index Number. |
3. Price Index Number takes into account the prices of the commodity of the base year as well as of the current year. | 3. Quantity Index takes into consideration the weights of goods assigned according to the quantity. |
